India and China on Monday held their first-ever defence and security consultations with both sides emphasising on enhanced military cooperation and exchanges to increase mutual trust.

Chief of Staff of the Chinese People's Liberation Army Chen Bingde met joint secretary in the ministry of Defence Bimal Julka at the consultation held in accordance with a Memorandum of Understanding on enhancing defence cooperation signed between the two countries in May 2006.

Chen, also member of the Central Military Commission, said Sino-Indian relations had entered a new period and the two militaries had fruitful cooperation.

He said both sides should enhance defence cooperation within the framework of the strategic and cooperative partnership and the two militaries should contribute to the common prosperity of India and China, as well as to world peace and stability.

Julka said India would like to work with China to promote military exchanges based on mutual respect and re-affirmed that New Delhi would adhere to the one-China policy. Qian Lihua, Director of Foreign Affairs Office of China's Defence Ministry, and Julka co-chaired the consultations, the official Xinhua news agency said.